ASEAN praised for its action on crisis<\/p>\n
By Meidyatama Suryodingrat<\/p>\n
BANGKOK (JP): Member states of the Association of Southeast
\nAsian Nations (ASEAN) were praised here on Friday for taking
\ntough action to overcome its economic crisis, but were also
\nwarned that further structural reform was needed to achieve a
\nsustainable recovery.<\/p>\n
United States Secretary of State Madeleine Albright lauded the
\nprogress made during ASEAN's two-day Post Ministerial Conferences
\n(PMC) saying that the financial and economic crisis is "a test
\nthat ASEAN is passing".<\/p>\n
"The hard decisions that some ASEAN nations had the courage to
\nmake on banking reform and privatization are paying off," she
\ntold the opening session of the PMC which brings together the 10
\nASEAN members with their 10 dialog partners.<\/p>\n
She noted that stability and growth in the region in the
\nfuture will depend on several factors: market fundamentals which
\ninclude regulation and investment; electronic initiatives such as
\ninternet readiness and paperless trading; along with a web of
\nconnections to electronic commerce.<\/p>\n
"A critical component of this effort will be strengthening the
\nrule of law and curbing official corruption and cronyism,"
\nAlbright said.<\/p>\n
South Korean Foreign Minister Lee Joung-binn in his address
\nnoted the tough steps that the ASEAN countries and his own have
\nhad to take and endure as a result of the crisis.<\/p>\n
"The transformation has had its cost. The restructuring has
\nbeen painful. It seems that not a single day goes by without
\ndiffering groups clashing against each other," he said.<\/p>\n
Albright stressed that Washington remains committed in
\nassisting the recovery and reforms needed. She noted that the
\nUnited States believes that "trade, not aid" is the best way to
\nfoster sustainable economic development.<\/p>\n
Aid, according to Albright, can play a useful role in
\n"jumpstarting" development and in responding to disasters.<\/p>\n
U.S. assistance has increased from US$201 million in 1999 to
\n$226 million this year.<\/p>\n
Australian Foreign Minister Alexander Downer also noted that
\nwhile the rebound over the past 18 months has exceeded
\nexpectations, caution remains appropriate.<\/p>\n
"It may be the removal of key pre-crisis vulnerabilities, like
\novervalued, pegged exchange rates, low foreign reserves and
\nexcessive short term debt, has reduced the risk of a similar
\nacute crisis in the future," Downer said.<\/p>\n
"But further structural reform, particularly financial and
\ncorporate restructuring, is needed to achieve sustainable
\nregional recovery".<\/p>\n
Downer further called on his ASEAN colleagues to remain alert
\nto external developments, such as a slowdown in the U.S. economy
\nwhich could severely limit growth through a drop in demand for
\nexports.<\/p>\n
"This initial driver of recovery, net exports, continues to
\nperform strongly. But stronger import growth is reducing trade
\nsurpluses in many East Asian economies," he said.<\/p>\n
Following a general session of all 20 foreign ministers or
\ntheir representatives during the opening PMC session, the
\nrespective ministers broke for individual sessions in which ASEAN
\ndelegates or ministers met with each of the 10 dialog partners
\nindividually in separate sessions.<\/p>\n
During the ASEAN-China session, both Malaysian Foreign
\nMinister Hamid Albar and Indonesian Foreign Minister Alwi Shihab,
\nwho arrived Friday morning from Indonesia, welcomed and urged
\ntheir Chinese counterpart Tang Jianxuan to proceed further on
\ntalks on a Code of Conduct for the South China Sea.<\/p>\n
Malaysia is the ASEAN coordinating country in dialogs with
\nChina, while Indonesia is the next coordinating country to take
\nover from Malaysia.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/asean-praised-for-its-action-on-crisis-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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